ACC 500 Financial Statement Exercise Ozark's 2016 Net Income was 140,000. Equipment purchases were made with cash. The increase in common stock and additional paid-in capital is due to issuing additional shares for cash. Comparative balance sheets for Ozark follow Prepare a statement of Cash Flows using the template provided. 2016 2015 Assets Cash Accounts receivable Inventories Prepaids Land Building and equipment Less: Accumulated depreciation Total assets XXX 199, 250 250,000 13,000 250,000 1,500,000 -205,000 2,465,950 472,000 71,500 278,800 xxx 250,000 1,300,000 -175,000 2,208,300 XXX 10,500 22,000 93,950 15,000 xxx Liabilities Accounts payable Accrued expenses Income taxes payable Stockholders' equity Common stock Paid in capital in excess of par Retained earnings Total liabilities and equity 710,000 990,000 646,350 XXX 700,000 800,000 586,350 XXX Page 1 of 2 Cash flows from operating activities: Net income Add (deduct) noncash effects on operating income Depreciation expense Change in accounts receivable Change in inventory Change in prepaid insurance Change in accounts payable Change in accrued exp Change in income taxes payable Net cash provided by operating activities Cash flows from investing activities: Purchase of equipment Net cash used by investing activities Cash flows from financing activities: Proceeds from issuing stock Dividends on common Net cash provided by financing activities Net decrease in cash Cash balance at January 1, 2016 Cash balance at December 31, 2016 Page 2 of 2